My CPA has told me to produce proof on the value of my 40'x80' insulated, bathroom/small office area workshop. He needs it to determine business depreciation, and wants something the IRS will accept in case of an audit(he says audits will/are on the increase for small businesses!)
I thought this info would be in my original appraisal from a few years back when I bought my current house, property, and buildings. But no. The appraisal only includes my house and the two acres plus out buildings it sets on. Doesn't even mention the 40x80 shop and other acres?
I bought this as one property, a 5 acre tract, house and buildings. Don't know why the big building wasn't appraised with the rest of the property?
All I can think to do is have the building itself appraised, check with the previous owner to see if he has any documentation of the buildings cost/value, check with my county offices for property tax building values, or have the building appraised myself.
Any ideas from the forum on how to document the value of my nice shop in an IRS suitable way?
Thanx, Stevie.